Airlines will have to write-off 2021 without government support

[SomchaiCNX]

33 minutes ago, MrJ2U said:

All connected.

 

Cush job.

 

There still 14,000 people on the pay roll.

Doing nothing.

 

Next group is ready to be laid off. Early to mid nineties I think they had 30.000 + on the payroll. Even when not flying, planes need maintenance as well as many systems or they will lose their license. Pilot crew need SIM to stay current. A young pilot friend at Lion was  grounded and received 5000 baht a month salary. Not much if you calculate what is paid for schooling and training before being hired. Nok scoot pilots got a meeting in the morning and got fired in the afternoon.

[MrJ2U]

6 minutes ago, SomchaiCNX said:

Next group is ready to be laid off. Early to mid nineties I think they had 30.000 + on the payroll. Even when not flying, planes need maintenance as well as many systems or they will lose their license. Pilot crew need SIM to stay current. A young pilot friend at Lion was  grounded and received 5000 baht a month salary. Not much if you calculate what is paid for schooling and training before being hired. Nok scoot pilots got a meeting in the morning and got fired in the afternoon.

Well can't keep thousands of people on a payroll of a company losing millions of dollars a day.

 

14,000 people is excessive.

 

They only flown 23 flights in 17 months.

Most practically empty.

 

I personally let everyone go and sell off the assets.

That's next.

 

"Bankrupt Thai Airways International has put 34 passenger aircraft from its fleet up for sale, hoping to find buyers by Nov 13."

 

No buyers

 

Creditors have only so much patience.

 

Crappy airline anyways, good riddance!

Edited August 18, 2021 by MrJ2U

[tomacht8]

So little by little everything collapses here. First the tourism with hotels, resorts, excursion tours, tour guides, restaurants, bars, entertainment, cinemas, theaters, nightlife, motorcycle rentals, travel agencies, massage shops, souvenir shops. Then the stationary retail trade, shopping centers and fashion stores. Then the transport sector taxis, minibuses, long-distance buses, boat tours and airlines. Then businesses such as car dealerships, motorcycle shops, refrigerators, funiture, TVs, cell phones, computer dealers have strong sales declines. Many landlords are vacant and defaulted, and bank loans can no longer be serviced. Production companies have to throttle their production, etc. Now more and more associations are slowly coming into the light of day and complaining of their suffering.

 

Now Thailand needs new, bright minds who can get both the pandemic and the economic decline under control.

[DaLa]

On 8/17/2021 at 10:39 AM, BritManToo said:

I always thought the governments should pick up all the bills of companies they have stopped operating by their foolish reactions to a trivial disease. It's not the airlines fault they can't operate.

For sure it would be great if the government would pick up the bills for those of us that have been forced to cease operations. Unfortunately I’ll reserve space in my wildest dreams for that to happen (slightly behind being wedged between Bella Hadid and Scarlett Johansson in an oversized bed).

However I would settle for governments to create a (temporary) law forcing banks and landlords (business properties) to freeze loan repayments and rent.

 

100k per month will eventually kill our business and I suspect the situation is similar for thousands of others.

[DaLa]

18 hours ago, MrJ2U said:

I don't see any improvement for domestic air travel.

 

Not much money for the average Thai to fly, pay for hotels and food, and also worry about getting sick.

 

Staying close to home and saving your money for emergencies is more apt at the moment and foreseeable future.

 

I think the safest and cheapest way at the moment is drive yourself and family.  

 

More fun also.

Take your time.

 

"safest"?  Do you drive a tank per chance. In which case that wont be cheap, incredibly uneconomical.  But I agree with your appraisal all the same. 

[MrJ2U]

5 hours ago, DaLa said:

"safest"?  Do you drive a tank per chance. In which case that wont be cheap, incredibly uneconomical.  But I agree with your appraisal all the same. 

I don't have a tank just yet.

Might be a fire sale on them when this government goes bankrupt.

 

Nice big 4 wheel drive Luxury SUV with a sticker that say , "kids on board".

 

The roads once away from the depths of Issan are pretty good.....  The other drivers are another story.

Edited August 18, 2021 by MrJ2U

[canthai55]

21 hours ago, BritManToo said:

I would class airlines/shipping/railways/busses as infrastructure.

Airports, Ports, Rail Lines yes

The companies that operate aircraft - the airlines, companies that operate ships - the shipping companies,  and the companies who operate rail cars and locomotives - the railway companies, should be private sector

[SomchaiCNX]

20 hours ago, MrJ2U said:

Well can't keep thousands of people on a payroll of a company losing millions of dollars a day.

 

14,000 people is excessive.

 

They only flown 23 flights in 17 months.

Most practically empty.

 

I personally let everyone go and sell off the assets.

That's next.

 

"Bankrupt Thai Airways International has put 34 passenger aircraft from its fleet up for sale, hoping to find buyers by Nov 13."

 

No buyers

 

Creditors have only so much patience.

 

Crappy airline anyways, good riddance!

Not a Crappy Airline just very bad corrupt management like in many government run companies.

Do you have the list of the 34 airplanes for sale? Searched for it but could not find.

Ryan Air that's crappy and scary airlines based on American style management. Money only people not important.

 

[Mr Meeseeks]

On 8/17/2021 at 9:00 PM, MrJ2U said:

They haven't.

 

There still 14,000 employees doing nothing.

 

Used to be 21,000 until they 'trimmed" it last year.

 

A bloated and terribly managed company

 

They were nudging 600 billion THB of debt last time I checked, no idea how that is possible to pay off even at its most profitable.

[billd766]

On 8/17/2021 at 7:25 AM, ezzra said:

Come come now, yes, the leadership and management of THAI wear so sure of their position in the market as a government backed national airline that they forgot how airline should work and service paying customers, but what about the thousands employees that have all lost their jobs now not due to their fault?... 

I guess that they will have find work in the same way that millions of other Thais have had to do.

 

I am having a quiet chuckle imagining Thai stewardess' working on a rice farm up to their knees in mud and water whilst wearing the uniform.

 

Just sell off Thai to the highest bidder foolish enough to buy it.

[MrJ2U]

39 minutes ago, SomchaiCNX said:

FYI Thai made a net profit of 300 Million $ in the first quarter of 21. Not bad compared to the a 1 billion loss in the same quarter last year. source DJ's Aviation (youtube channel about aviation)

How?

 

There not flying?

 

 

[billd766]

On 8/17/2021 at 3:24 PM, Srikcir said:

When the government has repeatedly capitalized a Thai airlines which it held a majority stake in despite a decade of losses, why shouldn't it also support local airlines?

Why indeed, when the government have put many millions of people out of work.

 

Of course they are only little people who don't really matter anyway.

Edited August 21, 2021 by billd766
Added extra text

[billd766]

On 8/18/2021 at 2:08 PM, MrJ2U said:

Well can't keep thousands of people on a payroll of a company losing millions of dollars a day.

 

14,000 people is excessive.

 

They only flown 23 flights in 17 months.

Most practically empty.

 

I personally let everyone go and sell off the assets.

That's next.

 

"Bankrupt Thai Airways International has put 34 passenger aircraft from its fleet up for sale, hoping to find buyers by Nov 13."

 

No buyers

 

Creditors have only so much patience.

 

Crappy airline anyways, good riddance!

Thais most valuable assets are the landing slots worldwide.

[MrJ2U]

1 minute ago, billd766 said:

Thais most valuable assets are the landing slots worldwide.

And there stewardesses. 

[MrJ2U]

2 minutes ago, billd766 said:

Thais most valuable assets are the landing slots worldwide.

I think they own lots of valuable real estate also.

[MrJ2U]

13 minutes ago, billd766 said:

Why indeed, when the government have put many millions of people out of work.

 

Of course they are only little people who don't really matter anyway.

Probably be cheaper just to buy out there contract.

 

Its the many perks, insurance, etc that can affect a large  underperforming companies bottom line.

[cclub75]

On 8/18/2021 at 3:02 PM, tomacht8 said:

So little by little everything collapses here. First the tourism with hotels, resorts, excursion tours, tour guides, restaurants, bars, entertainment, cinemas, theaters, nightlife, motorcycle rentals, travel agencies, massage shops, souvenir shops. Then the stationary retail trade, shopping centers and fashion stores. Then the transport sector taxis, minibuses, long-distance buses, boat tours and airlines. Then businesses such as car dealerships, motorcycle shops, refrigerators, funiture, TVs, cell phones, computer dealers have strong sales declines. Many landlords are vacant and defaulted, and bank loans can no longer be serviced. Production companies have to throttle their production, etc. Now more and more associations are slowly coming into the light of day and complaining of their suffering.

 

Now Thailand needs new, bright minds who can get both the pandemic and the economic decline under control.

 

Like... the president of Philippines.

 

" Philippines President Rodrigo Duterte on Thursday approved the easing of coronavirus curbs in the capital region from Aug. 21 to 31, his spokesperson said, even as the country reported its second-highest daily number of COVID-19 infections."

 

Source : https://www.reuters.com/world/asia-pacific/philippines-duterte-relax-coronavirus-curbs-capital-region-2021-08-19/

 

They did all the playbook : curfew, closings, lockdown, vaccines etc.

 

Like Thailand... not much effects.

 

Now the Reality Principle comes to bite them.

 

The Covid party is over (at least for developping countries).

 

Each day... the pressure increases dramatically on the thai society... It's time to release the steam and to end this madness (for rich old western countries).

[SomchaiCNX]

2 hours ago, MrJ2U said:

How?

 

There not flying?

 

 

That was not explained, due to selling assets and other stuff probably..

Edited August 21, 2021 by SomchaiCNX

[SomchaiCNX]

2 hours ago, MrJ2U said:

Probably be cheaper just to buy out there contract.

 

Its the many perks, insurance, etc that can affect a large  underperforming companies bottom line.

Unless you do like Ryan Air, but then again except for building hrs (young pilots) nothing in it for them (employees) on the long term. Thai 1 free domestic and 1 free international ticket is not much. Yes reduced fees for tickets but sometimes a Vietjet ticket was cheaper, faster and safer to get in BKK. I think most of the perks went to welconected people not actually working for Thai. Do not forget that those working for Thai do pay high income taxes as everything is done by the book while 90+% of THais even don't pay income taxes.

[MrJ2U]

2 hours ago, SomchaiCNX said:

Unless you do like Ryan Air, but then again except for building hrs (young pilots) nothing in it for them (employees) on the long term. Thai 1 free domestic and 1 free international ticket is not much. Yes reduced fees for tickets but sometimes a Vietjet ticket was cheaper, faster and safer to get in BKK. I think most of the perks went to welconected people not actually working for Thai. Do not forget that those working for Thai do pay high income taxes as everything is done by the book while 90+% of THais even don't pay income taxes.

Somchai please remember that Thais may not pay much in income taxes.

 

But they are constantly paying taxes when they purchase goods.  Taxes on practically every thing.

 

I'm surprised there wasn't more news about the Thai profit.  You'd think  news would be shoving it in everyones face.

[metisdead]

Posts with content that was copy and pasted from some sites without providing a valid link to the source of information have been removed:

 

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[SomchaiCNX]

15 hours ago, MrJ2U said:

Somchai please remember that Thais may not pay much in income taxes.

 

But they are constantly paying taxes when they purchase goods.  Taxes on practically every thing.

 

I'm surprised there wasn't more news about the Thai profit.  You'd think  news would be shoving it in everyones face.

Yes, but a lot of local shops do not even have a register and 7% is not much compared to other parts in the world. Good news gives people hope, bad news keeps them afraid. Makes me think that those in charge are a little <deleted> now that they can not put their hands in the cookie jar anymore. ???? The brown envelopes from the private companies probably help their decisions as well. It is a good time to start a new airline, many planes available and excellent period to apply for licenses (without much overhead) and start training as the competition can not fly as well but still need to pay a lot while having almost no income.